World Perspectives
feed-grains

Technical Views - Round We Go

SPREADS

Dec crush trades up to 91.20c/bu while oilshare trades higher to 45.55%.   Dec/March trades from 7 1/2c to 8c, while Dec 21/22 trades from 24c inverse to 21 3/4.   Dec wheat/corn trades from 1.92c to 1.87 3/4c.  Dec /March wheat trades from 10 1/2c to 11c.  Dec/March meal trades from 5.40 carry to $5.70.

PALM OIL

Dec. down 5 ringgits/mt.

NEWS

Stocks are down 140 pts. with crude oil at $73.66/barrel.  The US dollar firms to 93.30.

CALLS

Calls are as follows:

beans:  2-4 lower

meal:  .20-.60 lower

soyoil:  5-10 pts lower

corn:  2 1/2-3 1/2 lower

wheat: 1-2 lower

canola:  2.00-3.00 higher

BUSINESS

No announcements this AM

TECHNICALS

November Beans:  Prices offer a double top today at $12.90, and for the session it may stand as we make our way into the middle of a $12.65-$12.90 trading range.  On a weaker start would look for a probe back towards $12.75.  Lack of volume could keep prices close on both sides, and we may not find much follow-through.

first support: $12.72/$12.75

resistance:  $12.85/$12.88

possible range: much the same

December Meal:  Prices sideways with a series of lows at $338.00 which appears that we will test today.  Prices look ready to start under $340.00, and any break of the $338.00 level triggers more selling and a test of the bottom of the range once more.  Overall direction is from $335.00 - $345.00.

key support: $337.50/$338.00

resistance:  $342.00

possible range: much the same

December Soyoil:  prices appear ready to trade from 57c to 59c, with double tops at 5735c to begin the session.  ON a weaker start, would look for 5650c to perhaps be tested.  Good pullbacks here are still considered buying opportunities.

first support: 5650c/5660c

resistance:  5740c/5750c

possible range: much the same or lower

December Corn:  Stuck sideways with nicely defined boundaries from $5.10-$5.35.  The market will begin lower and against key resistance which is $5.27-$5.30.  Would look for possible further weakness, but lower support points may hold as the chart offers up a chance to consolidate values from $5.20-$5.30.

first support:  $5.20/$5.22

resistance:  $5.28/$5.30

possible range: much the same or lower

December Wheat:  Traded to key resistance at $7.20, which is now a double top. The rally has been stabilizing for price action, and therefore a pullback towards $7.02 likely holds for the day.  Would look to be a $7.00-$7.20 trading range, with good resistance close by on another rally at $7.22/$7.25. 

first support: $7.10/$7.12

resistance:  $7.20/$7.22

possible range: much the same

DECEMBER WHEAT

Trading range is from $6.80-$7.2./$7.25.  The price action now offers a double top on the rally at $7.20, and prices are trending a bit down and away from this level.  With an ADX of 12, meaning the rally does not have much sustaining power, would look for a retracement of the $7.02-$7.22 range in all likelihood.  Though prices have recovered nicely off the lows, they are still not in bull territory.  IF wanting to sell at the top here, would put in a close stop, however, as prices over $7.25 quickly targets $7.35 and there is not much back resistance to stop it.  For the day, don't think we go there, and would probably favor a consolidation trade.

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